Needy Money Loans

It’s a well-known fact that banks, credit unions, and even online lenders are always searching for low-risk borrowers that have expensive properties, large income, and a clear credit profile. 

Such borrowers get the best terms and conditions. 

On the other hand, those with low income, no jobs, and bad credit profiles have to agree to more strict conditions and higher interest rates. More often than not, getting such best short term loans would leave needy borrowers in a difficult financial situation; that’s to say that they got approved for a loan in the first place. 

Fortunately, there’s still something to be done about this. In this article, we’ll go through some needy money pay day loans online that you can apply for if you make little money or you have no job for the time being. 

What’s a Needy Money Loan? 

needy money loan

A needy money loan, also known as a low-income loan, is a type of small loan that targets those who don’t make enough money to support their families. These borrowers are usually refused by different financial institutions because their income isn’t enough to repay the instant loans offered.

What’s even worse is that lenders usually find a way to convince needy borrowers that a payday loan is the best way to go when in reality, these loans only make things worse because they have short repayment plans and the interest rates are usually around 400% the original amount, if not higher.

That said, a low-income loan is the best way for you to get by until you find a new job.

Types of Needy Money Loans 

In this section, we’ll discuss some of the options that you can opt for if your job doesn’t pay well. 

Secured Personal Loans

needy loan

A secured loan is one that’s backed up with collateral, meaning that the guarantee that you’ll repay the loan is that you have a valuable property that the lender can take possession of in case you fail to make your payments. That is how, if you were wondering how do personal loans work.

If you have a car or any other personal belonging that can be used as collateral or an asset, a secured loan would be the best option because of the following reasons: 

  • These unsecured personal loans for pensioners have excellent payment terms. 
  • The interest rates are usually low. 
  • The amount offered is larger because you become less risky when you provide an asset.

The question to answer here is, will anyone consider lending you the money if you can provide collateral, but you’re not making much money. The answer is yes! There’s a good chance you can get approved, particularly if you have a good credit history. 

Most borrowers think that it’s impossible to get approved with low income, but what they don’t know is that they can make smaller payments over a more extended period. This, of course, would make the overall repaid amount a bit higher than it should be; still, it’s a win-win for both the creditor and the borrower.

In addition, if you need apply for bond loan to buy a new car or anything similar, the car itself can be the asset, and if you couldn’t make the payments, the lender would take it over. In this scenario, neither you nor the lender loses, so you can easily be approved.

That being said, we don’t recommend using your mortgage or home as an asset to get a loan because if things didn’t go as planned, you’d be homeless. On the other hand, you’ll be just fine if you lose a car or even your savings; it’s not the best scenario, but at least you won’t be living on the streets.

Unsecured Personal Loans

needy loans

For someone who doesn’t have an asset, you might be able to get an easy financial loan. However, you should really be cautious with such loans because the trade-off is the interest rate. 

Unless you’re expecting a large amount of money soon, we don’t recommend going for an unsecured loan, especially if you don’t want to take any major risks. 

Failing to repay an unsecured loan can be catastrophic for both your credit score and your income. From late payment fees to being taken to court and ending up with wage garnishment, we think you’re better off with low-income than barely any income!

Small Loans

secured personal needy loan

A small loan is usually less than $5,000. These fast online loans have high repayment rates because the monthly repayments are small enough for those with low-income to keep up with. 

Just like secured loans, this private finance loan offers excellent terms, and even for someone who doesn’t have collateral, a small unsecured loan is a great offer. It’s worth mentioning, though, that these loans depend on your credit score for the most part. 

Can I Get A Loan If I Currently Have No Job? 

Yes! As surprising as it is, there’s a way for you to get a loan even if you don’t currently have a job. Here are some options that you can explore: 

Find a Co-signer 

small needy loan

Whether you have a good or bad credit history, having a co-signer increases your chances of getting approved for a loan, even if you don’t have a job.

Basically, the co-signer or a guarantor is someone who has a clear credit history and makes a good living, and hence, an excellent candidate for the loan. This person agrees to repay the debt on your behalf in case you didn’t make your payments. 

Accordingly, the lender’s money would be at less risk, and there’s a good chance that they accept your request.

Seek a Joint Personal Loan 

If you can’t find a co-signer, perhaps you can find a joint to share the loan with. Just like the co-signer, this person should have a good credit score. However, you both become owners of the loan, so they’re required to repay some of the debt.

Final Thoughts

As you can see, there’s more than just one way for you to get a loan. What’s important is that you consider every possibility and don’t rush into things. Otherwise, you’ll find yourself drowning in debt before you even know it. When it comes to secured loans for gamblers, one should always rationalise. If possible, get financial assistance from an expert first. 

About the Author

Lucy has over a decade of experience in finance. She is currently the content curator here at Perfect Payday.

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